There is a NAFTA clause which would permit the US Government to exclude Canadians and Mexicans from participating on contracts deemed of "essential security interest". However should this clause be invoked, the US Government would be required to insist on a US security clearance for any US citizen involved with the contract.

Failure to do so would be seen as pure protectionism on the part of the US Government, which seems to be a recurrent theme since G. Bush has been elected.

Here is the NAFTA clause, for those who are interested.

Article 2102: National Security

1. Subject to Articles 607 (Energy - National Security Measures) and 1018 (Government Procurement - Exceptions), nothing in this Agreement shall be construed:

(a) to require any Party to furnish or allow access to any information the disclosure of which it determines to be contrary to its essential security interests;

(b) to prevent any Party from taking any actions that it considers necessary for the protection of its essential security interests

(i) relating to the traffic in arms, ammunition and implements of war and to such traffic and transactions in other goods, materials, services and technology undertaken directly or indirectly for the purpose of supplying a military or other security establishment,

(ii) taken in time of war or other emergency in international relations, or

(iii) relating to the implementation of national policies or international agreements respecting the non-proliferation of nuclear weapons or other nuclear explosive devices; or

(c) to prevent any Party from taking action in pursuance of its obligations under the United Nations Charter for the maintenance of international peace and security.

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